KUALA LUMPUR, June 14 — Pekat Group Bhd (Pekat), a solar photovoltaic (PV) and earthing and lightning protection (ELP) specialist, has set a record for initial public offering (IPO) demand from retail investors during its nine days public subscription from June 2 to 10.

Pekat said the IPO has attracted RM794.5 million money chasing after only RM10.3 million worth of its public portion shares on sale.

“The 32.2 million new shares made available for the Malaysian Public was oversubscribed by 76 times, after a total of 34,963 applications for 2.5 billion shares were received,” it said in a statement, today.

Pekat said the RM794.5 million subscription amount received was the highest since 2019, surpassing the previous records set by Volcano Bhd and Flexidynamic Holdings Bhd, which pulled in RM512.8 million and RM444.9 million, respectively, in subscription earlier this year.

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“The Bumiputera portion of shares was oversubscribed by 44 times, after a total of 13,168 applications for 725.5 million shares were received.

“Meanwhile, 21,795 applications for the remaining public portion amounting to 1.8 billion shares were received, representing an oversubscription rate of 108 times,” it said.

Besides, the 16.1 million new shares for its eligible directors and employees, as well as persons who have contributed to the success of Pekat had also been fully subscribed.

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Commenting on the record-high demand from retail investors for Pekat IPO, M&A Securities Sdn Bhd corporate finance managing director Datuk Bill Tan said the strong demand for green energy-focused companies reflect the shift in investor sentiment towards environmental, social and governance (ESG) companies, especially solar power.

Meanwhile, Pekat managing director Chin Soo Mau said moving forward, the company aims to grow its order book for solar PV division’s contribution to the group’s revenue to between 60 per cent and 70 per cent in the current financial year ending Dec 31, 2021.

“Pekat will tap into the RM1 billion local solar market with potential jobs this year, driven mainly from the Net Energy Metering (NEM) 3.0 programme.

“So far, we have secured over 22 megawatt (mw) under the net offset virtual aggregation (NOVA) programme for commercial premises under NEM 3.0, and we are applying for more, as we aim to achieve 10 per cent share from the total 300 mw quota allocated for commercial premises,” he added.

NEM 3.0 is a new solar rooftop initiatives by the government to provide opportunity for more users to install the solar PV systems on the roofs of their respective buildings for electricity bill reduction. — Bernama